Case Law Analysis
|Custom, Excise & Service Tax Tribunal
Service Tax Exemption for CRS/GDS Incentives to Air Travel Agents | CESTAT Clarifies Non-Taxability Under Business Auxiliary Service
CESTAT Chandigarh rules that incentives paid by Computer Reservation Systems/Global Distribution Systems (CRS/GDS) to air travel agents do not constitute taxable 'Business Auxiliary Service' under Service Tax law. The ruling provides relief to travel agents by exempting such payments from tax liability, while also clarifying the treatment of fuel surcharges, abatement, and CENVAT credit rules.